Economic Development
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Survival and self-sufficiency is almost impossible to achieve for the unemployed and those with limited income. The opportunity to work respects the dignity of people who desperately wish to take care of their own needs and those of their family.
In cash-driven developing societies, poor families need to find ways of earning money. Often they know how to make an income, but they lack the resources to get started. They are often tempted into impossible loan deals where they sink into greater poverty and dependence. Or they lack the business skills to successfully operate a small enterprise or the numeracy skills to handle the finances properly. |
What ADRA is doing…
ADRA Australia's economic development programs enhance family or local entrepreneurial activities and seek to subsidise or complement primary income-generation, such as agricultural activities. The goal is to develop financially viable activities and organisations that can continue serving the local community after ADRA's involvement is over.
One such approach is to work with community leadership to organise business cooperatives. These micro-finance development (MFD) initiatives, also known as small enterprise development (SED) programs, provide small loans to groups of individuals (a large majority are women) who cannot access credit at formal institutions. Loans are paid back on a regular schedule and clients in good standing can apply for increasing loan amounts. Generally, clients also receive training in business skills to maximise their ability to use and invest their new capital.
ADRA's economic development projects give people a hand-up not a hand out. Whether in Bangladesh, Laos or the Solomon Islands, there are thousands who, today, have dignity and self-sufficiency through working with their own hands because ADRA Australia helped give them the start they needed.